IMMINENT COLLAPSE OF POULTRY INDUSTRY: OVER 5MILLION JOBS THREATENED – SAVE OUR SOUL
The Poultry Industry in the South West Geo-Political Zone is over 6 decades growing consistently and steadily to a population of 30million a number representing more than 60% of the National Poultry Population. In investment, this sector is worth over N2 Trillion Naira. In job creation, it employs over 10 million people, directly and indirectly, using its wide value chain from farm to field. It is worthy of note that this sector is almost 100% private driven.
However, if urgent attention is not given to the lingering crisis of Grains especially maize and Soya, we fear that an industry with such enviable statistics may suffer a total collapse.
About July 2020, the price of maize due to inadequate supply against the huge demand by the Poultry Sector and other users rose from a price of 105000 – 165000. In the midst of this hike in price, the Central Bank of Nigeria announced a ban on Forex for the importation of maize which further drove the price too as high as 185000/TON.
Principal among the reasons for the BAN was to encourage local production. Currently, the jobs of maize and soya beans growers are not in any way threatened because they cannot even meet the huge local demand for the products. Yet the acute scarcity and astronomical prices of soya beans and maize threaten additional five million poultry jobs in the short term except Your Excellency intervenes.
After much public outcry by the Poultry farmers, a concession was given to some Poultry Stakeholders to import 262000MT. This had long been done and in the onset of harvest which was November 2020, it was obvious that our local production was grossly inadequate to support the Poultry Industry through 2021 given the following reasons:
- Shortfall in Rainfall and still being largely dependent on rain fed agriculture
- Insecurity and Herdsmen Challenges which implied that most farmers did not plant
- Higher demand for Maize in the Poultry Sector due to the Broiler Anchor Borrower Program of the FGN through CBN/NIRSAL
- Export Activities some illegal
As at today, Maize is 210,000/MT in most states of the South West, Soya Meal 240000/MT. Due to the fact that these two items form about 75-78 % of an average poultry ration, the price of poultry feed has continuously been on the increase from about 2750 -3000 in April 2020 to 4850-5300 today. In December, most farmers from small to large were unable to sell their broiler because the cost of production was even higher than what an average Nigerian can afford. Presently, egg is going out of the reach of an average family with ideal price at 1300 per crate but the farm gate price is still at 1000-1100 a price that will force farmers to close down.
OUR PRAYERS
- The Government to approve urgent importation of Animal Feed Grade of Maize to Sustain the over 50million layers, 100million broilers, 1million breeders, and other classes of poultry until the next harvest season.
- In the interim, Government to enforce a ban on export of Soya both seed and the Processed Meal.
- The Governors in the Southwest to put as much efforts to the cultivation of maize as they have done with rice.
- A strong Collaboration between Maize Farmers Association of Nigeria, Soya Farmers Association of Nigeria and PAN to determine the body’s actual yearly need and assessing the later Yield Vis a Vis her need for proper planning.
- To save the current 10million jobs in the Poultry Value Chain of the Nigerian Economy.
Yours faithfully,
For: Poultry Association of Nigeria, South West
Dr. Olalekan Odunsi
General Secretary
